Lithium Argentina and Ganfeng to Develop Brine Lithium Projects

Ganfeng Lithium

New Agreement Targets Pozuelos-Pastos Grandes Basin Expansion

Lithium Argentina and Ganfeng Lithium signed a letter of intent to jointly develop lithium resources in Argentina’s Pozuelos-Pastos Grandes basin. The collaboration involves three projects: Pastos Grande, Sal de la Puna, and the Pozuelos project, all located in Salta province.

Ownership is split between the two firms across the assets. Lithium Argentina holds 85% of Pastos Grande and 65% of Sal de la Puna, while Ganfeng holds the remaining stakes.

The Pozuelos-Pastos Grandes project is fully owned by Ganfeng, but will be included in the partnership scope.

Ambitious Plans for Brine and DLE Operations

The new agreement provides a framework to finalize resource development through both traditional brine evaporation and direct lithium extraction (DLE) methods. When completed, the combined lithium projects are projected to yield 150,000 tonnes per year of lithium carbonate equivalent (LCE).

The parties may also expand production to include lithium chloride, providing downstream flexibility for battery material supply. This strategic cooperation adds scale and supply certainty amid global lithium demand fluctuations.

Cauchari-Olaroz Project Supports Growth Trajectory

The two companies also operate Argentina's leading lithium asset, the Cauchari-Olaroz project, via their joint venture Exar. This facility produced 25,400 tonnes of LCE in 2024, and aims for up to 37% output growth in 2025.

Together, the expanded brine portfolio and Exar’s performance underscore Argentina’s growing importance in global lithium supply chains.

The Metalnomist Commentary

As Western automakers seek secure lithium sources, Argentina’s brine projects are gaining strategic prominence. The Lithium Argentina–Ganfeng alliance could evolve into one of South America’s most influential LCE partnerships.